An advanced robust possibilistic chance-constrained programming model for the animal fat-based biodiesel supply chain network

Abstract

The demand for non-renewable energy has grown due to rapidly depleting fossil fuels and rising energy demand. Biofuel can be utilized in engines without modification to reduce air pollution and carbon emissions and is a significant replacement for fossil fuels. Biodiesel can be produced from various inedible and edible biomass. Animal fat is a reasonable substitute among inedible resources due to its readily available and reasonably priced nature. Furthermore, the efficacy of the supply chain network at the strategic and tactical planning levels is compromised by risks of disruption due to labor strikes, natural disasters, operational downtime, and data uncertainty. This study proposes a robust possibilistic chance-constrained programming model for optimizing the animal fat-based biodiesel supply chain network under uncertainty. The model incorporates strategic and tactical planning decisions while accounting for potential disruptions and operational risks. The biodiesel smart manufacturing system reduces the amount of contaminants in the biodiesel with variable production rate, and an autonomation inspection system detects contaminants in the biodiesel. The biodiesel is purified in biorefineries after biodiesel natural manufacturing. The demand for biodiesel depends on the efficiency of awareness towards biodiesel and its selling price. To enhance resilience, the study introduces a p-robust algorithm that maximizes profitability under disruptive scenarios. A numerical example is analyzed, and the repercussions of the numerical example reveal that lower selling price and less awareness efficiency with more awareness expenditure and high selling price and awareness efficiency with less awareness expenditure increase the overall profit of the system. The findings of the designed model is valuable for policymakers to handle the uncertainty of a sustainable biodiesel supply chain network and biofuel production industry.